The California Energy Commission (CEC) has released a staff report recommending that the state set planning targets of 2 GW to 5 GW of offshore wind by 2030 and 25 GW of offshore wind by 2045
If approved by regulators on 10 August 2022, the targets outlined in an updated version of Assembly Bill 525 will be the most ambitious in the US, putting the state on a path to meeting roughly 25% of its electricity needs with offshore wind by mid-century.
In late July 2022, California Governor Gavin Newsom sent a letter requesting that regulators set a target of at least 20 GW of offshore wind by 2045. The CEC has delivered on the Governor’s vision with an even higher target, having been tasked with setting targets for offshore wind development by legislation passed by the state of California last year.
The proposal comes on the heels of a decision by the California Coastal Commission earlier this summer to unanimously support proposed offshore wind lease activities off the coast of Morro Bay along the Central Coast of California. Lease sales on the site are expected later in 2022.
In May 2022, the CEC released adraft of the AB 525 reportwith its initial offshore wind planning goals – 3 GW by 2030, 10-15 GW by 2045, and potentially up to 20 GW by 2050. Before finalizing the report, the CEC decided to consider additional studies and stakeholder comments that advocated raising the goals up to 5 GW by 2030 and 20 GW or more by 2045.
Responding to the latest CEC report and new, higher target, Offshore Wind California director Adam Stern said, “This is excellent news for California’s offshore wind industry, workers and electricity ratepayers. We’re very encouraged to see the CEC release its updated AB 525 report, following Governor Newsom’s announcement last month. These goals set an ambitious course and show California is serious about ‘going big’ on floating offshore wind to strengthen and diversify its clean power portfolio.
“We are determined as an industry to work closely with state and federal agencies and other stakeholders to ensure the high end of these goals becomes a reality. Reaching 5 GW of offshore wind power by 2030 will position California to meet and even exceed its 25 GW goal by 2045,” said Mr Stern.
“Offshore Wind California and other industry leaders have encouraged the CEC to approve bold, multi-gigawatt goals for floating offshore wind, which we believe are well supported by the latest industry and academic research. The CEC’s expanded goals are an important milestone and send a clear signal that California is committed to being a leader in responsibly developing this new industry, and to driving the economies of scale that will generate the substantial clean power, climate, and jobs benefits offshore wind can deliver for the state.
“We look forward to seeing the Commission give its final approval to these planning goals at the 10 August meeting. To ‘go big’ you have to ‘plan big.’ For offshore wind, the next key steps include the federal lease auction this fall and developing a comprehensive strategic plan for offshore wind transmission, port infrastructure, procurement, additional call areas, workforce development, and a sustainable supply chain. We are committed to working with the CEC and other state agencies and stakeholders to continue implementing the AB 525 road map and moving expeditiously to bring the benefits of this important renewable energy resource to the Golden State.”
Environment California state director Laura Deehan said, “The significance of these targets cannot be overstated. Just last year, California was far behind the East Coast on offshore wind, and now we are poised to surge ahead with the most ambitious targets in the US. California has led on solar and we are leading on clean cars. Now we’re set to lead on offshore wind.”
